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7 March 2022 | Comment | Article by Martin Jones

Your Premises Licence: Impacts of Insolvency, Death, Incapacity or Loss of Right to Work in the UK

A Premises Licence issued under the Licensing Act 2003 can permit any or all of the following licensable activities:

  • the sale of alcohol for consumption on or off the premises;
  • provision of regulated entertainment; and
  • late night refreshment;

The Premises Licence Holder can be an individual, multiple individuals or a company;


  • A Premises Licence will lapse if the holder becomes insolvent;
  • An individual becomes insolvent on the approval of a voluntary arrangement proposed by him/her, being made bankrupt or having his/her estate sequestrated or he/she enters into a trust deed for his/her creditors;
  • A company becomes insolvent on the approval of a voluntary arrangement proposed by its directors, the appointment of an administrator in respect of the company, the appointment of an administrative receiver in respect of the company or if the company goes into liquidation;
  • The Premises Licence will also lapse if the holder is a company and the company is dissolved;

Death & Incapacity

  • A Premises Licence will lapse if the holder dies
  • A Premises Licence will lapse if the holder lacks capacity to hold the licence (within the meaning of the Mental Capacity Act 2005)

Right to work in the UK

  • A Premises Licence will lapse if the holder ceases to be entitled to work in the UK


  • The Premises Licence may be retained in limited circumstances, but only where either an application for an interim authority or transfer of the Premises Licence is made no later than 28 days after the day the Premises Licence lapsed;
  • If neither application is made, the Premises Licence will remain lapsed and the Premises Licence Holder will not be permitted to carry out any licensable activities;
  • If the Premises Licence Holder wishes to continue offering licensable activities, then they must apply for a new Premises Licence.

Please contact our Regulatory Department for further advice in the above circumstances.

Author bio

Martin Jones


As the Head of the Regulatory Department, Martin acts in a wide-range of regulatory crime and professional regulation matters. Martin has built up over 20 years of experience and a wealth of specialist knowledge.

He leads the firm’s cross-departmental alcohol and gaming licensing teams. Additionally Martin manages the teams providing a range of outsourced services to local authorities, including court representation of local authorities Adult and Children’s Services Departments.

Disclaimer: The information on the Hugh James website is for general information only and reflects the position at the date of publication. It does not constitute legal advice and should not be treated as such. If you would like to ensure the commentary reflects current legislation, case law or best practice, please contact the blog author.


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